Luxembourg defends its tax practices

Luxembourg’s Ministry of Finance on December 10 defended its tax rulings practice and its record on tax transparency, claiming that “Luxembourg is a constructive, reliable player in the move towards greater transparency in tax matters.”

Though not mentioning the matter directly, the Ministry also responds allegations stemming from the “Lux leak” revelations that the EU Commission’s new president, Jean-Claude Juncker, helped scores of multinationals avoid tax while he was Luxembourg’s prime minister and finance minister.

According to the Ministry of Finance, Luxembourg’s tax administration “carries on its functions in complete autonomy, without reporting to the Ministry of Finance and without receiving any instruction from that Ministry.”

See:

• Luxembourg ministry of Finance position paper on tax transparency and rulings

Related MNE Tax articles:

• Luxembourg draft budget addresses advance rulings and arm’s length standard

• Journalists publish leaked PwC advance rulings and tax returns, conclude that Luxembourg aids tax avoidance